Genius - automatically makes playlists from songs in your music library that go great together in one click. Pandora-type playlists, genius button in lower right hand corner. Genius sidebar shows recommendations from iTunes Store.

10:26am: iPod nano - colors, 8 new colors. 8gb $149 - 16gb $199. 8gb in stock in the next few days, 16gb by next wek hopefully.

10:27am: headphone with remote is back. Yehaw!!! nub on cable resembles iPhone headphone, has mic for voice recording - $29 next month. New in ear headphones. three sets of ear buds, two drivers in each woofer and tweeter. $79 in October.